the principle of regulation
The psychological understanding of economy is closely related with the history of applied psychology. Freud introduced the concept of economy to describe how an adult ego strives to meet its ideal requirements on one hand and its desires on the other, to find a balance. In everyday language today, this means to have a grip on everything yet still look good and have fun.
In later disciplines and schools, the concept of economy is linked more strongly with inner regulation, which serves to sustain a stable state. A successful economy means finding inner and outer balance. A failed economy is busy trying to keep up the principles of regulation that maintain it in order not to disrupt the system’s balance: compulsions, addictions, dissociations and justifications can stabilise an existing state at the personal level. At the level of systems, it is ossified positions, rules, normative ideas, speechlessness and excessive needs for safety and security that make changes difficult.